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A regulatory report warns of serious errors in AI tools for note-taking by Ontario doctors

The district auditor says that medical systems provided incorrect or incomplete information and experienced "hallucinations" during the assessment.

A regulatory report warns of serious errors in AI tools for note-taking by Ontario doctors

Published: May 18, 2026

Toronto —
The Auditor General of Ontario warned that AI tools designed to assist doctors in documenting patient notes provided incorrect or incomplete information, and in some cases showed what is known as digital "hallucinations."

The findings came as part of a broader report on the use of AI within the public service in the province, where Auditor Shelley Spence reviewed the government's evaluation method for medical systems that convert conversations between doctors and patients into written notes.

During the government procurement process, reviewers examined 20 such programs and found that some of the transcripts and resulting notes contained significant errors, omitted important information, or added details not mentioned in the original conversation.

The auditor said these errors raise particular concerns when it comes to healthcare, as inaccurate medical records can affect diagnosis, treatment, and follow-up decisions.

The report criticized the inadequate evaluation these tools underwent before being approved or considered for use, noting that the government did not implement strong enough controls to test accuracy, risks, privacy, and patient safety.

AI-powered medical documentation systems are used to reduce the administrative burden on doctors by summarizing medical visits and preparing clinical notes more quickly, but the report showed that relying on them without careful review could carry real risks.

The findings come amid rapid expansion in the use of AI within the public sector, including health, education, and government services, with increasing calls to establish clearer rules for transparency and accountability.

The report confirmed that AI can help improve efficiency but emphasized that it should only be used in sensitive sectors within a strict framework of human testing, professional review, and data protection.

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